| Abstract | This paper uses the DSGE model and the TVP-VAR model to do theoretical simulation and measurement test for the effectiveness of transmission path: interest rate adjustment → asset prices → entity economy. The results showed that: in theory, the nominal interest rate adjustment can effectively stabilize the assets price fluctuation and the real economy stability, but in the actual conduction process, the variables are relatively slow in response to changes of interest rates. This is mainly because China's interest rate transmission mechanism is not perfect, benchmark interest rate and interest rate corridor has not yet been built, at the same time, soft constraint and structural contradiction are more prominent, the liquidity of interest rate released only idles in the financial system. Therefore, governments and central banks should gradually strengthen regulation and guidance on the interest rate market, through the strengthening of the interest rate market to clear the interest rate transmission channel, promoting the coordinated development of fictitious economy and real economy, thus fundamentally strengthen the adjustment function of nominal interest rate to financial markets and the real economy. |